EABL Crosses $1 Billion Revenue Mark Ahead Of Asahi Takeover

East African Breweries Ltd (EABL) is preparing for life after Diageo, with management naming the coming ownership transition as the company's top strategic priority. The shift comes as the brewer awaits final regulatory approval for Japan's Asahi Group Holdings to take over its majority shareholding.

EABL Managing Director Jane Karuku said operational preparations are already underway to ensure business continuity once Kenya's Competition Authority approves the deal, describing the transition as requiring an all-hands-on-deck effort across the organisation.

Diageo announced in December 2025 that it intended to sell its EABL stake to Asahi, one of Japan's largest beverage companies. The transaction has already secured several regional approvals, including an exemption from a mandatory takeover offer from Kenya's Capital Markets Authority, clearance from Uganda's and Tanzania's capital markets authorities, and competition approvals in both those countries.

Approval from the Competition Authority of Kenya remains the final regulatory requirement before the deal can close. EABL executives declined to detail how business strategy might evolve under Asahi ownership, citing competition rules, but said plans would be outlined once the transaction receives final clearance.

The brewer's financials show capital expenditure has declined over the past two years, a trend EABL attributed to the completion of a multi-year investment cycle across its Kenyan, Ugandan and Tanzanian operations rather than any link to the pending acquisition. Karuku said investment levels remain aligned with business requirements and have not constrained the company's growth.

EABL reported a 13 percent rise in revenue to Sh146 billion and a 49 percent jump in net profit to Sh18.2 billion for the financial year ended June 2026, crossing the $1 billion revenue mark for the first time in its history. Kenya contributed 60 percent of group sales with 5 percent growth, while Uganda expanded 16 percent and Tanzania posted the strongest recovery at 44 percent.

Beer sales grew 9 percent, helped by lower excise taxes, while premium brands led by White Cap also grew 9 percent. Mainstream spirits surged 30 percent on the back of new flavour innovations, including malt, chrome and sorghum-based products aimed at younger consumers, alongside rising demand for draft offerings such as Tusker, Guinness and White Cap.